| Part of a series on |
| Financial markets |
|---|
| Bond market |
| Stock market |
| Other markets |
| Alternative investment |
| Over-the-counter (off-exchange) |
| Trading |
| Related areas |
Atrader is a person, firm, or entity infinance who buys and sellsfinancial instruments, such asforex,cryptocurrencies,stocks,bonds,commodities,derivatives, andmutual funds, indices in the capacity of agent,hedger,arbitrager, orspeculator.[1]
The word "trader" appeared as early as 1863 in a universal dictionary as "trading man."[2] Traders work for financial institutions as foreign exchange or securities dealers in the cash market and in the futures market, or for their own account as proprietary traders.[3] They also include stock exchange traders, but not stockbrokers or lead brokers.
Traders buy and sell financial instruments traded in thestock markets,derivatives markets andcommodity markets, comprising thestock exchanges,derivatives exchanges, and thecommodities exchanges. Several categories and designations for diverse kinds of traders are found infinance, including:

According toThe Wall Street Journal in 2004, amanaging directorconvertible bond trader was earning between $700,000 and $900,000 on average.[4]